EQUATIONS Flashcards
1
Q
BREAK EVEN
A
100% - VARIABLE COST RATIO (VCR)
2
Q
INCOME
A
EQUITY
x RATE OF RETURN
3
Q
RATE OF RETURN
A
EQUITY
4
Q
EQUITY
A
RATE OF RETURN
5
Q
CAPITALIZATION RATE
A
VALUE
6
Q
VALUE
A
CAPITALIZATION RATE
7
Q
EFFECTIVE INCOME
A
GROSS POTENTIAL RENT
x (1 - VACANCY RATE)
8
Q
NET OPERATING INCOME
A
EFFECTIVE INCOME
- OPERATING EXPENSE
9
Q
CONVERSIONS
A
9 SQ FT = 1 SQ YD
27 CU FT = 1 CU YD
10
Q
GROSS RENTAL INCOME
A
BASE RENT
x NUMBER OF UNITS